Fox Business Channel: China Threatens to Go after Dow Index Giants Next in Trade War
This article is by jade Scipioni From Fox Business Network
Dow members Boeing, Apple and Nike may be targeted by the Chinese as the trade war with the U.S. rages on, according to The Global Times.
China may need to adopt a “hard-line approach” targeting U.S. firms listed on the Dow Jones Industrial Average, if President Donald Trump keeps up with his trade threat antics, the paper reported.
“China does not want a trade war, but if Chinese companies suffer great losses due to Trump's protectionist trade policies, China will have no choice but to fight back in a bid to safeguard the interests of Chinese investors,” The Global Times said on Thursday.
“The 30 companies that comprise the weighted Dow Jones Industrial Average are among the world’s biggest and storied companies and may be some of the first to bear the brunt of China’s countermeasures,” the outlet added.
Trump has been pounding the tariff message all week. On Monday, Trump threatened to hit $200 billion of Chinese imports with 10% tariffs, if the country follows through with its retaliation against tariffs on $50 billion in imports, already announced. The U.S. and China have been in a tit-for-tat over trade since early May, after they both failed to reach a compromise on Trump’s complaints over what he described as unfair Chinese trade practices and a $375 billion trade deficit with the country.
“China is in full combat mode and prepared to strongly respond to any probable threat or economic assault from Trump,” the Global Times reiterated in its report.
The Dow fell 150 points early Thursday on the impending trade worries between the countries. The stock is also on track to post an eight-day losing streak, its longest since last March.